Eurozone Markit manufacturing PMI final October 2018 52.0 vs 52.1 exp

October 2018 Eurozone Markit manufacturing PMI final 2 November 2018

Flash 52.1. Sep 53.2
Lowest Aug 2016
Export orders 49.1 vs 48.9 flash. Sep 50.2. 5 year low
Output 51.3 vs 51.2 flash. Sep 52.7. Lowest since Dec 2014

Soggy data but it’s only temporary 😉

On the flipside, inflationary pressure grew;

“Meanwhile, input price pressures intensified on the back of rising energy, food, fuel and metals prices. Latest data showed input price inflation accelerating since September and remaining at an elevated level. Output charges were raised where possible in response, with the net increase remaining historically marked, albeit the lowest in 14 months.”

So that raises the question, what does the ECB do if they face a slowing economy but rising inflation? They can’t have it both ways so do they raise rates on inflation at the risk of slowing the economy further?

The rest of today’s PMI’s